Omani Oil Minister Mohamed Al-Romhi said Sunday, April 8, he expected the price of crude oil to settle around the $20-$21 mark so long as the Organization of Petroleum Exporting Countries' (OPEC) member states respect their production quotas.

"We expect oil prices to stabilize at $20-$21 a barrel during the summer if the countries of OPEC respect their current production levels," the minister was quoted as saying by the ONA news agency.

Speaking at a function winding up an oil engineering gathering in Muscat, Romhi also said the sultanate hoped to increase its output, currently at 900,000 barrels per day, (bpd) by 15,000 to 20,000 bpd in 2004, thanks to new drilling in the south of the country.

Estimates of Oman's gas reserves, currently around 850 billion cubic meters, should also increase due to new discoveries in the north of the country, the minister said, adding that he expected new foreign investment in the oil and gas sector in Oman.

Oman is an independent producer but cooperates closely with the OPEC cartel. OPEC decided in March to cut oil production by a million barrels per day from April first onwards in order to avoid a drop in oil prices with the coming summer months. — (AFP, Muscat)